Micron Technology Inc. (NASDAQ:MU)

The analysis of the annual financial data reveals a consistent upward trend in both total assets and adjusted total assets over the six-year period under review.

Total Assets

Total assets increased steadily from US$48,887 million in 2019 to US$69,416 million in 2024. This represents a cumulative growth of approximately 42% over the period. The year-over-year changes show consistent growth, with notable increments each year, except for a slight decline observed in 2023 compared to 2022, where total assets decreased from US$66,283 million to US$64,254 million. However, this dip was followed by a rebound in 2024, surpassing the previous peak.

Adjusted Total Assets

The adjusted total assets closely mirror the trend in total assets, starting at US$48,614 million in 2019 and rising to US$68,896 million in 2024. This increase is also substantial, reflecting a growth of roughly 42%. Similar to total assets, there was a minor decline in 2023 from the prior year, followed by a recovery in 2024. The adjusted figures remain slightly lower than total assets across all periods, indicating consistent adjustments applied over time.

Overall, these trends suggest sustained asset growth, with a temporary contraction in 2023 that was recovered in the subsequent year. The close alignment between total and adjusted total assets suggests stable asset quality and consistent adjustment policies. This asset growth trend may support expanded operational capacity or investment activities.

Total liabilities

Over the analyzed period, total liabilities demonstrate an overall increasing trend. Starting from US$12,019 million in August 2019, liabilities rose steadily each year, reaching US$24,285 million by August 2024. The most significant annual increase occurred between August 2022 and August 2023, where liabilities surged from US$16,376 million to US$20,134 million, marking a substantial rise. The upward trajectory continued from 2023 to 2024, indicating growing financial obligations over the six-year span.

Adjusted total liabilities

Adjusted total liabilities closely mirror the pattern seen in total liabilities, beginning at US$12,579 million in 2019 and escalating to US$24,226 million by 2024. This similarity suggests that adjustments to liabilities are marginal and do not significantly deviate from reported total liabilities. The progression remains consistent year over year, with the largest increments also occurring between 2022 and 2023. Slight differences between total and adjusted values are observed, but both metrics confirm a clear and substantial increase in obligations over time.

Overall analysis

The data indicates a persistent growth in the company’s liabilities across all measured periods. This consistent rise may reflect increased financing activities, expansion efforts, or other operational factors necessitating higher debt or obligations. The parallel movement of adjusted liabilities reinforces the reliability of the reported totals. Stakeholders should consider the implications of escalating liabilities on financial stability, liquidity, and potential leverage risks.

The analysis of the equity data over the six-year period reveals a general upward trend in both total shareholders' equity and adjusted total equity, with some fluctuations observed in the most recent years.

Total Micron shareholders’ equity

Starting at approximately $35.9 billion in 2019, there was a steady increase in shareholders' equity, reaching a peak near $49.9 billion in 2022. This represents a growth of nearly 39% over these three years, indicating an expansion in the company's net asset base. However, in 2023, a notable decrease occurred, bringing the equity down to about $44.1 billion, which suggests some possible equity reductions such as losses, dividends, buybacks, or other adjustments. By 2024, the equity slightly increased to approximately $45.1 billion, indicating a modest recovery or stabilization after the prior year's dip.

Adjusted total equity

Adjusted total equity follows a similar pattern, starting at roughly $36.0 billion in 2019 and escalating steadily to a peak of around $49.2 billion in 2022. The adjusted figure also declined in 2023 to about $43.5 billion, mirroring the pattern in total shareholders’ equity, and then rose marginally to nearly $44.7 billion in 2024. The parallel movement between reported and adjusted equity suggests that the adjustments made do not significantly alter the overall equity trend but may account for certain accounting or revaluation adjustments.

Overall, the equity metrics indicate that the company experienced substantial growth in shareholder value over the initial years, followed by a pronounced correction or decline in 2023. The partial rebound in 2024 points to a possible resolution of whatever factors impacted equity in the prior year, although the levels have not yet returned to the 2022 peak. This trend underscores the importance of analyzing underlying causes such as operational performance, market conditions, or capital activities that influenced equity changes during this timeframe.

The financial data reveals several notable trends regarding the company's debt, equity, and capital over the six-year period.

Total Reported Debt

The total reported debt exhibited a steady increase from 2019 to 2022, rising from 5,851 million USD to 6,906 million USD. However, a sharp increase is observable in 2023, when debt nearly doubled to 13,330 million USD, remaining relatively stable into 2024 at 13,397 million USD. This suggests a significant increase in leverage or financing during the most recent two years.

Total Micron Shareholders' Equity

Total shareholders’ equity showed a consistent upward trend from 35,881 million USD in 2019 to a peak of 49,907 million USD in 2022. Following this peak, equity declined substantially to 44,120 million USD in 2023 before experiencing a slight recovery to 45,131 million USD in 2024. This pattern indicates growth in equity until 2022, then a contraction potentially linked to capital returns, losses, or other factors impacting net assets.

Total Reported Capital

Total reported capital, the sum of debt and equity, increased steadily over the entire period, from 41,732 million USD in 2019 to 57,450 million USD in 2023 and further to 58,528 million USD in 2024. The continuous increase reflects the combined effects of growing debt and equity, despite the observed equity decline after 2022.

Adjusted Total Debt

Adjusted total debt mirrors the pattern of reported debt closely, rising gradually from 6,415 million USD in 2019 to 7,576 million USD in 2022. A pronounced increase occurs in 2023, reaching 13,999 million USD, and continuing slightly higher to 14,078 million USD in 2024. The adjusted figures corroborate the substantial recent increase in debt levels.

Adjusted Total Equity

Adjusted total equity follows a comparable trend to reported equity, increasing from 36,035 million USD in 2019 to a high of 49,218 million USD in 2022, then dropping sharply to 43,481 million USD in 2023 before a modest rise to 44,670 million USD in 2024. This adjustment confirms the equity contraction observed in the latest years.

Adjusted Total Capital

Adjusted total capital increased steadily from 42,450 million USD in 2019 to 56,794 million USD in 2022, then slightly rose to 57,480 million USD in 2023 and 58,748 million USD in 2024. The trend aligns closely with total reported capital, indicating consistent growth in the overall capital base, albeit with a faster increase in debt relative to equity in recent years.

Overall, the data indicates a period of expansion in the company's capital structure, highlighted by significant growth in debt since 2023. Equity grew steadily until 2022 but then decreased notably, which may reflect changes in profitability, dividend policy, or capital management strategies. The increasing reliance on debt financing in the last two years suggests a shift toward leveraging the balance sheet, which may affect risk profiles and cost of capital going forward.

The financial data reveals fluctuations in the net income and adjusted net income of Micron Technology Inc. over a six-year period.

Net Income (Loss) Attributable to Micron

The net income showed a strong positive performance in 2019 with a value of $6,313 million. This figure declined significantly to $2,687 million in 2020, indicating a notable reduction in profitability. In 2021, the company experienced a recovery with net income increasing to $5,861 million, followed by a further substantial rise to $8,687 million in 2022, marking the highest point in the observed period.

However, in 2023, the company faced a sharp reversal, posting a net loss of $5,833 million. The most recent data for 2024 shows a return to profitability, albeit at a much lower level of $778 million compared to the preceding profitable years. This indicates significant volatility in net income, with a notable dip into loss territory in 2023 and incomplete recovery in 2024.

Adjusted Net Income (Loss)

Adjusted net income mirrors the trend observed in net income but with somewhat moderated values. The figure started at $6,693 million in 2019, declined to $2,882 million in 2020, and rebounded to $5,773 million in 2021. The increase continued in 2022, reaching $8,419 million, close to the peak seen for net income in the same year.

In 2023, adjusted net income registered a loss of $5,592 million, which is consistent with the loss reported in net income but slightly less severe. The adjusted net income for 2024 improved to $991 million, reflecting a positive turnaround similar to net income, but still remains well below historical highs.

The overall pattern indicates that the company experienced strong earnings performance from 2019 through 2022, followed by a substantial downturn in 2023. The rebounds in 2024, both in net and adjusted net income, are positive signals but remain significantly below the highest earnings recorded during the period. The parallel movement between net income and adjusted net income suggests that the adjustments do not materially alter the core profitability trends or volatility experienced by the company.